In today's world credit cards have become as important as paper money.
People all over the world prefer to carry them rather than actual money for safety reasons, as well as the feeling of ease to just carry a plastic card over bundles or stacks of paper money that can be taken without a trace.
That is why they are also widely known as plastic money.
They offer flexibility, as well as comfort over paper money.
The transaction is quite simple.
It involves the only person that has access to the credit card is the customer, the person who accepts the credit card, and the issuer of the credit card.
The customer can essentially make purchases using the credit card from anyone who has a credit card terminal.
The shopkeeper is then reimbursed by the issuer and the issuer in turn receives the dues on maturity of credit limit.
The issuer also receives some fixed percentage of the credit as interest from the customer.
Zero percent interest would be ideal since they are essentially cards where the percentage of interest charged on the credit is zero.
Zero percent interest rates are generally issued to a select few customers.
These customers are chosen or selected on the basis of their credit history.
People who maintain a good credit history, and clear their dues before the stipulated period, are selected.
Zero percent interest rates are particularly useful for people who use huge amounts of money and also clear their bills within the stipulated period.
Most generally although they have zero interest they still have to pay some fees like process fees, etc.
The main advantage with zero percent interest is that they help the customer save money on the interests charged on the credit they receive from the issuer.
They are generally used as promotional offers, or for a fixed fee to be paid.